Sustainable Investing at a glance
Would you like to find out more about sustainable investing? UBS has summarized the most important information for you.
Are we talking about a short-lived trend or a long-term movement?
When I look at my 17-year-old daughter, who is also participating in the “Fridays for Future” protests, I can safely say that this is something that will last. Companies and investors will find a different clientele in the future. This generation is proactively demanding that we become more ecologically aware and less egocentric. I believe that this trend will even grow.
What do investors have to pay attention to when buying sustainable products?
Whether an investment is sustainable or traditional, it must always perform well. The key factors are risk, returns, liquidity and costs. When opting for sustainable investments, the investor must also consider which values are important to them. For example, does it matter if a company pays minimum wages, or that female workers have the same salaries as their male colleagues? You choose the investment according to your personal preferences and values. On the other hand, not every single aspect that you regard as sustainable will be feasible all the time. Even if you focus on sustainability as an investor, you have to be able to make compromises – that’s how things work in the real world.
What investment instruments does UBS offer clients who want to invest sustainably?
Our core products include sustainable investment funds. We offer a selection of various equity and bond solutions that are optimized in terms of both the return profile and the sustainability profile. Other products include the Long Term Themes equity fund, which invests in companies concerned by sustainable megatrends such as the consequences of population growth, aging and urbanization.
Which sustainability products can be expected in the future?
The expansion of sustainable investments is one of the central themes of UBS’s corporate strategy. There will be new solutions to address sustainability issues across all asset classes. In defining these new products, we look at the UN's Sustainable Development Goals, the CO2 footprint and sustainability ratings. But we also want the pension solutions available to Swiss private clients to be more sustainable. To let you into a little secret, there will be appropriate options for this at the beginning of next year.
Who are sustainable investments suitable for?
Sustainability is suitable for everyone.
When should I start investing?
The general rule is: the sooner the better. But of course it depends on your individual situation in life. If a client wants to build a house in five years, then it is not advisable to invest in a high proportion of shares. That’s precisely why it’s worth obtaining advice from UBS. The advisor can work with the client to define which investment solution fits the client’s current situation.